Embraer Case Essay

Q1.How has Embraer managed to succeed as a global competitor from within the confines of an emerging economy? Advantages and disadvantages Embraer has derived from the Brazilian context.

Strong government support created competitive advantages in the aircraft industry and led Embraer to become a global player. As a factor condition in the determination of national competitive advantage by Porter (Exhibit 1), the government established an environment where Embraer was able to procure raw materials easily through no tax or duty on imports.
To support Embraer’s business, related and supporting industries were developed by the Brazilian government setting aeronautics as a priority to grow the nation’s economy. The government tried to…show more content…

Lastly, the Brazilian government’s PROEX program helped to finance Embraer’s exports by offsetting the extra financial cost from inflation and interest rates, as well as helping foreign buyers finance their purchases of Embraer’s aircraft at subsidized rates.
These initiatives helped Embraer start and continue to grow into a strong player in the aerospace industry.

Q3. Do you agree with Botelho’s decision to re-emphasize the military business? Does the French alliance make sense?

Botelho’s decision to re-emphasize the military business seems at odds with what has allowed Embraer to be successful. Firstly, the alliance would require Embraer to shift from being a “manufacturer” to “a supplier of intelligent defense systems”. It also seems to take the company in a new direction away from their core competency of being an integrator of complex aircrafts. The objective of the alliance was for Embraer to move beyond military aircraft into naval and ground defense. However, the industrial hubs within Brazil and the network of suppliers they currently have are all within the aerospace field. The diversification may not utilize many of the skills and resources they currently have. Therefore, there would be significant development costs. Lastly, the choice of the French alliance may also introduce potential conflicts. Though Embraer hopes to use the alliance to learn (i.e. reverse innovate) knowledge to move into manufacturing other military vehicles, the reverse could

Related Documents: Embraer Case Essay

Week 4 Mini Case Analysis: The Case of the Mexican Crazy Quilt
Molly Thorvilson
Operations Management
201410-MGT-713-W4B
University of St. Mary
11/16/14
Linderman Industries implemented a project organization strategy in an attempt to kick-start a Mexican subsidiary. While it may have been a difficult situation, Project Mexicano ended up being successful. Projects are composed of a unique set of activities established to realize a given set of objectives in a limited time span. (Stevenson…

Kimberly Hoefer
April 22, 2015
Delux Tool Case
Integrated Case 2
The first thing I.M. Tycoon needs to evaluate all the organization current structures and how to better fit the business goals and needs. The right structure will determine the future success of the companies that will be involved. The financial obligations, products and service will be taken into consideration with the new recommendations. The new structure needs to see the different…

MEMO
Date: February 7, 2015
Re: Observations from Matching Dell case
History of low average profitability of the PC industry
Prior to 1980, there were several startups offering pre-assembled personal computers but it was not until 1981 when IBM entered the market that any one firm held significant market share. IBM gained almost half of the market quickly but during that time, they had not been able to gain much efficiency. They were purchasing many components and selling through retail stores.…

Case Analysis of Google’s Project Oxygen
Jill E. Kinsey
University of Houston-Victoria
Google’s Background
In 1998, Google was founded by Sergey Brin and Larry Page who at the time, were both doctoral students at Stanford University in California. Page and Brin were able to raise $26 million from investors and in 1999 moved Google to new headquarters in Mountain View, California. Google started out unlike any other business by incorporating unique ideas into the office. A few examples…

Case 19 – Georgia Atlantic Company (Dividend Policy)
Critique the 6 alternative dividend policies proposed by Abe Markowitz. Discuss the implications of each for Georgia Atlantic Company. Make your recommendation on which is the best for the shareholders and state the reasons why.
Solution
No Cash Dividends, No Stock Dividend or Split
This strategy will be the worst possible choice for Georgia Atlantic. This is due to the fact that the company’s recent Market-to-Book value is well below…

by way of case stated by one of the stipendiary magistrates sitting at Bow Street, before whom informations were preferred by police officers against the defendants, in each case that she ‘being a common prostitute, did solicit in a street for the purpose of prostitution, contrary to section 1 (1) of the Street Offences Act, 1959.’ The magistrate in each case found that the defendant was a common prostitute, that she had solicited and that the solicitation was in a street, and in each case fined the…

AssetsGuard Case
Executive summary:
Based on given conditions our recommendation is to launch AssetsGuard insurance product line for the following reasons:
* product’s contribution margin under conservative estimates is at 79% which represent a very lucrative product profitability
* estimated sales of AssetsGuard are at 8,759 new policies for the next year at monthly premium of $18.74 will generate revenue of $1,969,684 with 26.5% profit margin
* monthly premium price of $18.74 (market…

strongly believe in the euro appreciation beyond 1.0847 USD/EUR and you have a receivable in six months, the option hedge would be the most profitable of the plans according to your expectations. QUESTION 3 - 15 points In the US Semiconductor (USS) case, the group controllers of USS suggested that for the translation of a new UK distribution and sales center they could use the US dollar as the functional currency. Under which conditions is it likely that the Accounting Standards Board will accept…

Profitability Analysis of Option #2 (See Exhibit 3) we can see that the 5% higher rate would lead to a 1$/Ton profit. However, if Stermon are going to offer a better service their sales are likely to increase, so the 1$/Ton profit represents a worst case scenario which is higher than the break-even point.
There are two main potential issues with this approach. By reducing production lead times a company would likely increase manufacturing costs, but this increase should be leveraged by the increase…

Words 1010 - Pages 5

* Test names and other trademarks are the property of the respective trademark holders. None of the trademark holders are affiliated with this website.